Two men involved in a scheme to stage car accidents for insurance fraud have been sentenced to prison in New York City. Jaime Huiracocha, 53, and Victor Murillo, 34, will serve at least one and two years, respectively, after pleading guilty to insurance fraud charges.
Queens District Attorney Melinda Katz announced the sentences on Thursday, crediting a viral video with jumpstarting the investigation that uncovered three staged crashes. The video, captured on the Belt Parkway, showed a Honda Civic backing into another vehicle. Prosecutors stated that this incident was the third staged crash in the series orchestrated by Huiracocha and Murillo.
"This original video, which happened to have been the third incident, not the first, was really key in us identifying, investigating and making sure we had the right people," Katz told reporters. "We worked backwards from that viral video."
The scheme, which prosecutors said began on August 24, 2024, involved Murillo driving and abruptly braking to cause vehicles behind him to rear-end his car. Huiracocha would follow in a separate vehicle, coordinating the timing and execution of the collisions. After each crash, Murillo would switch seats, and other participants would cover the rear window with plastic bags to obscure his movements. Some individuals then feigned injuries, with dashcam footage showing them holding their heads in apparent pain.
The first crash on the Belt Parkway resulted in an insurance payout of $79,000 for personal injuries. A second staged incident on October 3, 2024, involved Murillo driving an SUV that was rear-ended by a tractor-trailer. The driver of the truck appeared skeptical of the scheme, questioning the participants in Spanish. This crash led to $5,500 in insurance payouts.
The third and final staged crash, captured in the viral video, saw Murillo's Honda Civic cut off another car, then deliberately reverse into it. Passengers in Murillo's car then attempted to obscure his exit from the vehicle into a waiting SUV. This crash resulted in an insurance claim that was withdrawn after the video gained traction online.
Prosecutors filed charges including insurance fraud, staging a motor vehicle crash, and reckless endangerment. Two other individuals, Maikel Martinez and Ivon Matus-Martinez, have pleaded guilty and are awaiting sentencing.
During a press conference with Governor Kathy Hochul, District Attorney Katz highlighted the sentences. Hochul used the case to underscore her administration's efforts to lower car insurance costs in New York, noting that the state has seen a significant increase in staged crashes, with 1,700 reported in 2023. She indicated that reforms aimed at reducing insurance premiums are expected to be implemented soon.